SASRA 2024 annual supervision report shows saccos with an asset base of over five billion Kenya Shillings are agile, innovative and resilient
By George Gichuki
Kenya’s cooperative movement continues to stand as one of the country’s most enduring pillars of economic empowerment. With over 14 million members and a contribution of nearly 6% to the Gross Domestic Product ( GDP) , savings and credit co-operatives (saccos), have cemented their place at the heart of Kenya’s financial inclusion journey. The 2024 Sacco Societies Regulatory Authority ( SASRA) annual supervision report provides a comprehensive review of the state of deposit-taking saccos, illustrating how resilience, innovation, and sound governance are shaping the future of these lenders. In particular, tier one saccos ( with an asset base of over Kshs. 5 billion) , the giants of the movement, continue to define this space through their adaptability, expansive membership bases, and growing asset portfolios.
The detailed report paints a compelling picture of recovery and reinvention within the cooperative sector. Following a period of economic turbulence marked by inflationary pressure, currency depreciation, and global supply shocks, Kenya’s saccos demonstrated remarkable resilience in 2024.
Navigating the economic pressure
Despite facing inflationary headwinds, job losses, and climate-induced shocks that rattled multiple sectors, Kenya’s regulated saccos proved their unmatched resilience. According to the SASRA 2024 report, the total assets of the deposit-taking sacco subsector expanded by 10.72%, reaching Kshs. 1.08 trillion, a notable improvement from the 9.17% growth recorded in 2023.
This surge reflects the sub -sector’s ability to sustain momentum even as households grappled with reduced disposable incomes and higher living costs. Saccos remained a financial refuge, providing credit, cushioning livelihoods, and offering a stable platform for micro, small and medium enterprises ( MSMEs), small and medium enterprises ( SMEs) as well as salaried members.
Financial recovery and strategic growth post-2023
The sub sector’s 2024 rebound can largely be attributed to strategic portfolio diversification and improved liquidity management among tier one saccos. Big players such as : Stima DT Sacco, Mwalimu National DT Sacco, Kenya National Police DT Sacco, Harambee DT Sacco, Tower Sacco and Mentor Sacco reported increased contributions by members, better loan recovery rates, and expansion into digital financial products.
While commercial banks tightened lending conditions due to elevated Central Bank Rates (CBR), saccos leaned into their community-driven ethos, ensuring access to affordable credit. This countercyclical lending approach played a critical role in enhancing members’ welfare and stimulating local economic activity.
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Climate and credit resilience: lessons from the cooperatives
In 2024, climate shocks heavily affected rural agribusinesses and the informal economy. Nevertheless, saccos serving these demographics adapted swiftly, introducing climate-smart financial products and flexible repayment models. The SASRA report notes that tier one rural-based saccos sustained steady growth, a testament to the sub -sector’s agility and its members’ enduring faith.
Tier one saccos: anchors of financial inclusion
The 2024 SASRA annual supervision report reaffirms what many watchers of the sector already know ; that tier one saccos remain the backbone of Kenya’s cooperative financial ecosystem. Categorized as saccos with total assets exceeding Kshs. 5 billion, these institutions have continued to expand their dominance and influence, shaping the trajectory of the sub-sector in both urban and rural economies.
According to this report, the sixty large-tier saccos now collectively control 77.07% of the sector’s total assets ( equivalent to Kshs. 829.41 billion ) out of its entire Kshs. 1.08 trillion. This marks a consistent consolidation of financial power among the country’s biggest cooperatives, a reflection of their robust governance frameworks, diversified membership bases, and sustained credit performance despite a challenging macroeconomic environment.
What sets these tier one saccos apart is their dual identity. They operate with the prudence of formal financial institutions while preserving the accessibility and trust that define cooperative culture. Additionally, they are the bridges linking Kenya’s grassroots entrepreneurs, salaried workers, and MSMEs to financial inclusion. Their growing dominance has not only strengthened members’ confidence, but also stabilized the entire cooperative movement, offering resilience where traditional lenders often falter.
In 2024, tier one saccos demonstrated remarkable adaptability in product diversification and digital transformation. Many embraced innovative platforms for onboarding members, savings mobilization, and credit disbursement, ensuring that even members in remote areas could access financial products and services conveniently. Their scale has also enabled them to weather liquidity fluctuations and regulatory transitions under SASRA’s tightened compliance environment.
Stima Sacco: the powerhouse in tier one
In Kenya’s rapidly evolving cooperative finance space, Stima Sacco has emerged as a pacesetter, a benchmark of what strategic leadership, innovation, and prudent financial management can achieve. As revealed in the 2024 SASRA annual supervision report, Stima Sacco has not only maintained its position among the top five tier one saccos by asset base, but has also distinguished itself as a model of resilience, prudence, and forward-thinking governance.
A pacesetter in growth and stability
In 2024, regulated saccos expanded their total asset base by 10.72% to reach Kshs. 1.08 trillion, compared to the 9.17% growth recorded in 2023. Within this momentum, Stima Sacco posted one of the strongest individual growth trajectories, with its total assets being recorded at Kshs. 66.51 billion compared to Kshs. 59.1 billion in 2023 – a growth of 12.44 %. This is a testament to loyalty among its members as well as institutional soundness. This remarkable performance ranked Stima second to Mwalimu National DT Sacco, which recorded an asset base of Kshs. 68.89 billion in 2024 in comparison to Kshs. 66.43 billion in 2023 – a growth of 3.70%. To that end nevertheless, the growth of Stima Sacco was higher than the one of Mwalimu National DT Sacco.
Number three was Kenya National Police DT Sacco with an asset base of Kshs. 59.83 billion, followed by Harambee DT Sacco whose asset base was Kshs. 38.70 billion, while Tower Sacco was fifth with an asset base of Kshs. 28.04 billion.
Significantly, at Kshs. 10.20 billion, Stima recorded the highest total income in 2024 among the tier one saccos. It was followed by Kenya National Police DT Sacco with Kshs. 9.95 billion, third position was Mwalimu National DT Sacco with Kshs. 9.32 billion, fourth was Harambee DT Sacco with Kshs. 7.11 billion, while Tower Sacco emerged fifth nationally with a total income of Kshs. 4.33 billion.
This steady growth of Stima Sacco is grounded in a sustainable model of member-driven capitalization, effective cost management, and a diversified loan portfolio. Its loan-to-asset ratio remains among the healthiest in the tier one category, reinforcing SASRA’s observation that well-managed institutions are achieving growth without compromising portfolio quality.
Member-first innovation and digital leadership
What truly defines Stima Sacco’s success story is its deep commitment to members’ transformation journey. The tier one sacco’s innovation strategy, anchored on the ‘member-first’ philosophy, has placed digital convenience and inclusivity at the core of its service delivery. Through the Stima Mobile App and enhanced digital channels, members can apply for loans, check balances, and deposit funds at the convenience of their locations, reflecting how saccos are adapting to market trends and responding to members’ needs, while staying true to their roots.
In SASRA’s broader assessment of digital adoption across the sector, Stima Sacco consistently features among the financial institutions that have not only embraced automation but have done so responsibly, ensuring that the transition strengthens, rather than replacing , human-centred service delivery.
Prudent lending and diversified products
Stima Sacco’s credit management philosophy aligns closely with SASRA’s emphasis on prudent lending and sustainable credit risk management. Despite the inflationary pressure prevailing in the country as well as reduced disposable incomes in 2024, the sacco maintained a high-quality loan book, reflecting its robust underwriting systems and strong recovery processes.
Beyond its conventional loan products, Stima Sacco has ventured into diversified lending solutions that mirror Kenya’s changing social and environmental priorities. Its housing finance portfolio for instance supports members’ home ownership dreams, while the introduction of green and sustainability-linked loans demonstrates foresight in aligning cooperative finance with the global sustainability agenda.
This diversification is not only strategic, but also deeply relevant, bridging access to affordable finance while enabling members to invest in renewable energy solutions, water systems, and other environmentally conscious ventures. In doing so, Stima Sacco exemplifies the role of cooperatives as enablers of both economic and ecological resilience.
SASRA alignment and leadership legacy
Every metric in the 2024 SASRA report that defines a well-performing sacco finds reflection in Stima’s operations. The sacco’s governance model, rooted in transparency and accountability, remains one of its strongest assets. Regular audits, strategic leadership development, and consistent member engagement have all contributed to its enduring credibility.
Most importantly, Stima Sacco’s growth narrative reinforces a critical insight from SASRA’s 2024 analysis: that tier one saccos are the lifeblood of Kenya’s cooperative financial system. Holding over 77% of the sector’s total assets, these institutions ( with Stima among the most prominent ) are not only financially stable , but are also redefining cooperative excellence.
As Kenya navigates post-pandemic economic uncertainty and global financial shifts, Stima Sacco’s performance underscores the power of collective resilience. Its ability to combine digital transformation, member-centric innovation, and sustainable lending is not just a success story, it is a blueprint for the future of saccos in Kenya.
Mentor sacco and peer institutions: sustained momentum
Mentor Sacco has carved out a distinct niche, a symbol of steady, measured progress built on trust, discipline, and community-driven financial inclusion. Headquartered in Murang’a town, Mentor Sacco continues to uphold the cooperative spirit that defines Kenya’s Central region, translating grassroots savings culture into organized financial empowerment.
The 2024 annual SASRA supervision report reaffirms Mentor SACCO’s brand reputation for stability, highlighting its strong performance in asset growth and membership expansion. A tier one sacco with an asset base of Kshs 15.74 billion according to the 2024 SASRA annual supervision report, Mentor’s momentum continues to bridge the gap between the community-based cooperative model and the more structured, government-linked institutions that dominate the tier one category.
Mentor Sacco’s membership base has grown significantly in the recent years, reflecting not only its growing trust within Murang’a and neighbouring counties like Kiambu, Machakos and Kajiado but also its deepening penetration in urban areas ( especially Nairobi where it has a branch) where salaried professionals are turning to saccos for affordable credit and investment opportunities. Its loan portfolio, supported by prudent underwriting practices and strong recovery rates, aligns well with SASRA’s emphasis on maintaining credit discipline amid economic uncertainty.
Governance remains Mentor’s cornerstone. Underpinned by transparent management practicesand active member engagement, the sacco continues to reinforce what SASRA identifies as the most vital ingredient for SACCO success: sound governance structures. This has enabled Mentor to weather periods of financial stress while maintaining liquidity and profitability, traits that place it in the same conversation among its peers in the tier one category.
Equally commendable is Mentor’s quiet yet effective approach to digital integration. Though not as aggressively tech-driven as Stima Sacco, Mentor has embraced digitilization, offering mobile and online platforms that enhance accessibility for members, particularly the ones in the diaspora and the far flung areas. In doing so, it demonstrates that technology need not replace personal relationships, but rather complement them, ensuring that the sacco’s human touch remains central.
Mentor Sacco’s continued growth also highlights a vital truth in SASRA’s 2024 assessment: that the future of Kenya’s cooperative movement will not be defined solely by scale, but by sustainability, inclusivity, and adaptability.
The bigger picture: sectoral shifts and challenges
While tier one saccos like Stima have stood out in SASRA’s 2024 review due to their remarkable growth in different parameters , the broader sacco ecosystem faces an increasingly complex set of challenges. The report warns that the sustainability of small-tier saccos, with asset bases below Kshs. 100 million, remains fragile, with many struggling to comply with regulatory requirements, digitilization of operations, or withstanding macroeconomic shocks.
SASRA’s findings reveal a widening performance gap between large, regulated saccos and smaller, non-regulated ones. Whereas tier one and two saccos posted an impressive 10.72% aggregate asset growth, a significant number of small-tier saccos stagnated or even recorded losses, hindered by limited capital adequacy, weak governance, and low economies of scale.
To address these imbalances, the authority has renewed its call for mergers, digitilization, and product diversification, emphasizing that consolidation could unlock economies of scale, enhance compliance, and improve delivery of services to members. The cooperative sector, SASRA notes, must evolve from traditional savings and loan functions towards integrated financial ecosystems, offering insurance, housing, green finance, and SMEs support.
A notable section of the 2024 report; Section 11.1 on Climate Resilience and Financial Stability, stresses the growing urgency of climate adaptation. With unpredictable weather patterns affecting incomes, especially in agrarian communities, saccos are now seen as critical actors in fostering climate-resilient livelihoods. Institutions like Stima Sacco, with green loan products, and Mentor Sacco, with agribusiness support products, exemplify how cooperatives can lead in environmental sustainability while protecting members’ financial stability.
In essence, the sacco model remains at the heart of Kenya’s socio-economic fabric. Nevertheless, its long-term survival hinges on modernization, inclusivity, and strong governance. SASRA’s guidance is clear: those who adapt will thrive, while those who resist transformation risk obsolescence.
Future signals
The 2024 SASRA report paints a vivid picture of a sub- sector at a crossroads, one balancing between tradition and transformation. Kenya’s saccos, celebrated globally as a model of cooperative success, continue to demonstrate unparalleled resilience in the face of inflation, rising interest rates, and climate volatility.
At the heart of this story are the tier one giants like Stima Sacco, Kenya National Police DT Sacco, Mwalimu National DT Sacco, Harambee DT Sacco and Tower Sacco whose combined asset base now accounts for over three-quarters of the sector’s total assets. Their consistency and innovation serve as proof that Kenya’s cooperative movement is evolving into a sophisticated pillar of national development.
Stima Saco , in particular, exemplifies the future-facing saccos – ones that merge digital innovation, sustainability, and governance excellence. Its proactive embrace of green finance, inclusive products, and member-centric digital tools signals a new era of cooperative leadership. Meanwhile, Mentor Sacco’s deliberate, values-driven growth demonstrates that sustainable success can be achieved through authenticity and community focus, not just scale.
Looking ahead, SASRA’s roadmap for the sub- sector; centred on digital transformation, climate resilience, and stronger governance, outlines what the next decade will demand. The saccos that will lead Kenya’s next economic chapter will be the ones that embrace technology, empower members, and embody transparency.
The story of Kenya’s saccos, one would say, is no longer just about savings and credit, it is about trust, transformation, and the triumph of collective ambition. As 2025 unfolds into another promising year, Kenya’s saccos stand tall, not merely as financial institutions, but as guardians of resilience, inclusion, and hope for millions of Kenyans.
